You can now get an instant DIP for Limited Company purchases and remortgage cases. We have introduced this in response to intermediary feedback and to improve the experience for you and your clients.
You can obtain a DIP through TMW Online (opens in a new window). KFIs can be obtained through your usual sourcing system.
We now accept applications for Limited Company where there are minority shareholders. A Minority Shareholder is an individual with 20% or less of the shareholding.
A Limited Company can have up to four minority shareholders who can own up to 25% of the company shares between them, but an individual shareholder cannot have more than 20% of the shares.
Minority Shareholders do not need to be a part of the mortgage and they won't be credit assessed or asked to sign a personal guarantee.
Full criteria can be found on our Limited Company criteria page.
We have made some improvements to the DIP journey for purchase and remortgage. We have moved some questions from the Full Mortgage Application (FMA) to the Decision in Principle. This is so that if the case is going to decline, you and your client will find out sooner. We have also made changes to the income screens to make it easier to complete and make the process more efficient.
All DIPs will now leave a soft footprint on your clients credit file. It is only when the full application is submitted that a hard footprint is left. More information can be found on TMW Online.
More information can be found on our lending criteria page.
We now split the background ICR policy of 145%. For any properties owned within a Limited Company structure, the minimum aggregate ICR is 125%. For properties that are personally owned, the ICR policy remains at 145%.
The minimum property value or purchase price is now £65,000, previously £50,000. This excludes HMO where the minimum property value remains at £100,000.
